Gloucester Engineering Co. came under new ownership on Jan. 5, five days after it emerged from Chapter 11 bankruptcy protection, with private equity fund Blue Wolf Capital Partners LLC (New York) becoming its majority equity shareholder. The Gloucester, MA based manufacturer of extrusion and converting equipment fully exited bankruptcy protection on Dec. 31, 2010 after securing confirmation of its reorganization plan from the bankruptcy court in the District of Massachusetts on Dec. 20. It originally filed for bankruptcy protection in June 2010.
Blue Wolf said that Gloucester Engineering's speedy turnaround has been aided by improved business, with more than nine significant orders totaling $12 million recently booked from customers in the U.S., Malaysia, Germany, India, Mexico, and Taiwan.
Blue Wolf made its initial investment in Gloucester Engineering in May 2010 as a secured lender and will have majority representation on the company's board, with the company falling under its Blue Wolf Capital Fund II portfolio. Last spring, Blue Wolf provided working capital to Gloucester, in part to support the more than 1200 pieces of installed equipment it said the company had in the field. Gloucester's European subsidiary, Gloucester Engineering Europe GmbH, exited bankruptcy protection on Nov. 12, 2010....